PHILADELPHIA-New York City-based 806 Capital LLC, in partnership with Chicago-based Raideye Investments, has acquired a 37,000-sf industrial building at 1234 Hamilton St. for conversion to residential condos. The price tag was almost $3.8 million and the company is investing $2 million more for the conversion.
Leonidas Addimando, a Philadelphia native, and Jacob Gehl, a senior broker with Marcus & Millichap in New York City, are the principals of 806 Capital. The seller of the building, which is the former factory of candy-ingredient supplier Ottens Flavors, is locally based Miles and Generalis, a converter of several historic properties here. It is currently occupying part of the Hamilton Street building, which was completed in the 1920s.
The new owners plan 17 residential condo units ranging from 1,000 sf to 2,500 sf which will be offered at prices of between $300,000 and $650,000, Gehl tells GlobeSt.com. "We already have one buyer that paid over $1 million to acquire two planned units in order to create one larger one." The average unit size is 1,650 per sf. The developer also plans 17 indoor parking spaces, which it is selling for $35,000 each.
The project is called Live at 1234. The developers plan to complete the conversion by Memorial Day 2006 and deliver the units that summer.
Gehl describes 806 as a "start-up developer" with plans for additional investment in what he calls Philadelphia's "loft district." This location is north of Center City and west and south of Old City and Northern Liberties, respectively. "We're attracted to the renaissance taking place in Philadelphia," he says, "and we believe we can offer more square footage for the same unit prices condos are going for in other Center City markets."
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